As of the end of May this year, the country's finances recorded a deficit of 54.2 trillion won. This is an improvement of 20.2 trillion won compared to the same period last year, but it is the fourth-largest deficit in history.
According to the 'Monthly Fiscal Trends July Issue' published by the Ministry of Economy and Finance on July 10, the cumulative total revenue as of the end of May was 279.8 trillion won, an increase of 21.6 trillion won compared to the same period last year.
This is thanks to an increase of 21.3 trillion won in national tax revenue, primarily from corporate tax and income tax. The total national tax revenue as of the end of May recorded 172.3 trillion won, with increases of 14.4 trillion won from corporate tax and 6.2 trillion won from income tax.
Non-tax revenue amounted to 17.4 trillion won, an increase of 3.6 trillion won compared to the same period last year. Fund revenue was 90 trillion won, which is a decrease of 3.3 trillion won during the same period.
The cumulative total expenditure as of the end of May was 315.3 trillion won, an increase of 4.9 trillion won compared to the same period last year. This amount includes 3.2 trillion won executed from the first supplementary budget of 13.8 trillion won.
Hwang Hee-jung, the Director of Fiscal Soundness at the Ministry of Economy and Finance, noted, "The goal was to execute 70% of the supplementary budget by July," adding that, as of May, the execution rate was 26.9% and is considered normal.
The consolidated fiscal balance, calculated by subtracting total expenditure from total revenue, recorded a deficit of 35.5 trillion won. Excluding the surplus of 18.7 trillion won from social security funds such as the National Pension, the consolidated fiscal balance without social security fund shows a deficit of 54.2 trillion won.
This is the fourth largest deficit after 77.9 trillion won in 2020, 74.4 trillion won in 2024, and 71.2 trillion won in 2022.
The national debt is increasing. As of the end of May, the central government debt balance was 1,217.8 trillion won, an increase of 19.9 trillion won from the previous month.
The issuance size of government bonds in June was 23.8 trillion won. The interest rate on government bonds in June rose due to significant supply anticipated from the second supplementary budget, increasing from the previous month. Consequently, the procurement interest rate rose to 2.64%, compared to 2.47% the month prior. The bidding rate was 251%, similar to the previous month.
The issuance volume of government bonds from January to June was 123.8 trillion won, accounting for 59.8% of the annual total issuance limit. Including government bonds for individual investors, the total is 124.5 trillion won.